THURSDAY, JANUARY 6, 1994
THE
ON HONG KONG'S PROPERTY MARKET IN 1993, HE NOTED THAT MORTGAGE LENDING BY THE BANKS SHOWED A RENEWED UPSURGE IN THE MIDDLE OF YEAR, ACCOMPANIED BY A FURTHER RISE IN PRICES.
CONDITIONS WERE NOW MORE STABLE ALTHOUGH THE LATENT DEMAND STILL THERE, HE ADDED.
OVER THE YEAR AS A WHOLE, THE BANKS! MORTGAGE LENDING GREW ABOUT 15 PER CENT WHILE PROPERTY PRICES ROSE BY 20 PER CENT.
L
WAS.
BY
AND
HE BELIEVED THAT WITHOUT THE 70 PER CENT. MORTGAGE CEILING, EVEN TIGHTER LENDING POLICIES BY SOME BANKS, THE GROWTH IN LENDING AND
OVERHEATING CONSEQUENT
OF THE PROPERTY MARKET WOULD HAVE
MUCH BEEN
GREATER,
THIS SHOWED THE VALUE OF THE 70 PER CENT CEILING IN HELPING TO
EXCESSIVE RESTRAIN
LENDING AND IN PROVIDING BANKS WITH A CUSHION AGAINST ANY DOWNTURN IN THE MARKET, HE SAID, ADDING THAT HE SEE ANY CASE FOR THE CEILING TO BE LIFTED AT PRESENT.
DID
NOT
ON
THE
THE MONETARY AND BANKING SECTOR, SIR HAMISH NOTED THAT BANKING SECTOR ENJOYED ANOTHER SUCCESSFUL AND PROFITABLE YEAR IN 1993, HELPED BY THE GOOD PERFORMANCE OF THE ECONOMY.
A SIGNIFICANT DEVELOPMENT WAS THE ESTABLISHMENT OF THE HONG KONG MONETARY: AUTHORITY (HKMA) ON APRIL 1, 1993.
MONEY
DURING THE YEAR, THE HKMA HAD INTRODUCED THE CENTRAL MARKETS UNIT WHICH WOULD FACILITATE SCRIPLESS TRADING OF HONG KONG DOLLAR DEBT INSTRUMENTS AND HAD ALSO SUCCESSFULLY LAUNCHED THE YEAR EXCHANGE FUND NOTE WHICH HAD HELPED TO DEEPEN THE KONG DOLLAR DEBT INSTRUMENT MARKET.
THREE-
GROWING HONG
HE SAID THAT 1994 WOULD SEE THE CONTINUED GROWTH OF HONG AS AN IMPORTANT INTERNATIONAL AND REGIONAL FINANCIAL CENTRE.
KONG
TURNING TO THE STOCK AND FUTURES MARKETS, SIR HAMISH DESCRIBED 1993 AS "A SUCCESSFUL AND RECORD-BREAKING YEAR".
SECOND DOUBLED.
THE STOCK MARKET SAW TREMENDOUS PROGRESS, IN PARTICULAR IN THE
HALF OF THE YEAR WITH THE HANG SENG INDEX
MORE HAVING
THAN
AND SUBSTANTIALLY
TRADING
MARKET CAPITALISATION ALSO GREW VOLUME HAD REMAINED AT ROBUST LEVEL, HE ADDED.
AN IMPORTANT DEVELOPMENT WAS THE LISTING OF CHINESE STATE ENTERPRISES IN HONG KONG. THE SIX LISTINGS SO FAR
WELL HAD BEEN RECEIVED AND THREE MORE LISTINGS HAD BEEN SCHEDULED FOR THE FIRST HALF OF 1994.
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